Term

Definition

named insured

for WC, a business entity (individual, partnership, corporation, etc.) specifically insured by a WC policy

National Commission on State Workmen’s Compensation Laws

US congressional task force that studied state WC systems and made recommendations for improvement in an historic 1972 report

National Council on Compensation Insurance (NCCI)

largest advisory organization for WC insurers, NCCI collects statistics, develops advisory loss costs and policy forms, and makes state filings for its members; writes the manuals used in many states to calculate WC premiums and also administers the Assigned Risk Plan in many jurisdictions; is a private organization, not a governmental entity

negligence

legal responsibility due to a failure to perform a duty owed to someone else

no-fault system

legal system that does not require proof of negligence for recovery (WC and automobile personal injury protection are examples)

Nonappropriated Fund Instrumentalities Act (NAFI)

extends the benefits of the Longshoremen's and Harbor Workers Compensation Act (USL&H) to certain civilian employees working for nonappropriated fund instrumentalities such as post exchanges and service clubs of the Armed Forces

Nonappropriated Fund Instumentalities Act Coverage Endorsement

endorsement to WC policy that covers the Nonappropriated Fund Instrumentalities Act

nonsubject premium

see excess loss premium

nonhazardous employment

in a few states, businesses deemed to engage in nonhazardous employment are not required to obtain WC coverage

nonoccupational disability benefits

wage replacement paid, by sources other than WC, for injuries and illnesses that are not work-related

nonresident employee

an employee whose principal place of work is in another state

nonresident employer

a business temporarily engaged in work in a state where it does not have ongoing operations

nonscheduled injury, nonscheduled loss

For WC, a permanent partial disability for which the permanent disability payment is not specified in a schedule in the state WC statutes

nonsubscriber plan

for Texas WC, an approved plan to compensate employee injuries outside of the state’s WC system

not otherwise classified (NOC)

term often found in WC data elements or the classification section of WC rating manuals – if a listing is followed by "NOC," it means to use this classification where there is no applicable listing that is more specific

notice of claim

older term for the employee's first report of a work injury

notice to employees

notice required in each employer's workplace to notify its employees of its WC insurance coverage (also called a posting notice)

numerical exemption

in some states, employers with five employees or less may not be required to purchase WC coverage